RESEARCH METHODS

Business Management



Business Management

a) Background to the problem/issue

An important event in the context of the general trend of internationalization has an increasingly active role of small and medium-sized enterprises (SMEs), the attention of a number of international researchers of the economy (eg been played attracted [Chetty et al., 2006], [Lu and Beamish, 2001], [Oviatt and McDougall, 2005] and [Zhou et al., 2007]). Internationalization provides opportunities for growth and productivity for small businesses. To realize these opportunities SMEs often have to make investments in international business relationships (Blankenburg Holm, Eriksson and Johanson, 2005). SMEs are usually financial and administrative resources are limited (Buckley, 2005), and therefore it is particularly important that the conditions for specific investments (Rishis) of small and medium-sized enterprises, and the enforcement of these ([Jarillo, 2008] and [Oviatt and McDougall study, 2005]). Relationship specific investments are defined as investments are not easily translated into other relationships ([Klein et al., 1978], [Subramani and Venkatraman, 2003] and [Williamson, 1985]).

Since the majority of RSI studies in the home market have been carried out, has little empirical attention to the study RSI was in the intercultural exchange relationships (see paid [Blankenburg Holm et al., 2006] and [Skarmeas et al., 2002] , the famous exceptions). While growth has led the globalization of many partnerships between companies across national borders, our understanding of the background and results of the RSI remains in an international context is limited (Skarmeas et al., 2002).

b) study Questions & Objectives

The uncertainty in participating in international business is good in the international literature of business processes (eg Johanson & Vahlne, 1977). For example, foreign institutional conditions are not easily interpreted by the firm (Pfeffer and Salancik, 1978). We also know that disadvantage foreign firms with local firms in terms of understanding local conditions and specific aspects of doing business in this market (in comparison [Barkema et al., 2006], [Hymer, 1976] and [Zaheer, 2006]) .

The purpose of this study is to examine how affect institutional constraints and the amount of knowledge and information exchange with foreign business Rishi internationalization of small and medium-sized businesses and the performance results of these investments.

The acquisition of the skills and essential information for successful entry into foreign markets, especially in resource-intensive small and medium-sized enterprises (eg Craig and Douglas, 2006) is limited. Nevertheless, entry into foreign markets affects the effectiveness of information exchange between companies and local business partners. Based on the idea those differences in institutional environments and exchange of knowledge and information with great challenges that the internationalization of SMEs should be the person (eg Oviatt and McDougall, 2005), this study focuses on these aspects and the goal is their influence on the internationalization of small and medium enterprises Rishi study, and the enforcement of these investments.

c) Literature review

Previous studies on the internationalization of small and medium-sized businesses in general, as the time of entry, geographical coverage and the input mode (eg, [Crick and Jones, 2000], [Lu and Beamish, 2001], [Oviatt and McDougall, 2005] and [Zahra et ...